NSE is about to start its subsidiary company NSE IFSC. With its help, retail investors will now be able to invest and trade in American stocks.
NSE: If you are also an investor and want to invest in American markets, then there is good news for you that now you will be able to invest in American stocks without any hassle. Also Read:Â Kisan Credit Card: Apply For KCC Online At SBI, Direct Link Here
National Stock Exchange of India Limited (NSE) is going to start a subsidiary company NSE IFSC for trading in International Stocks. Now soon you will be able to trade and invest in limited stocks of US through the NSE IFSC platform. Trading, clearing, settlement and holding in US stocks will be under the NSE IFSC Authority. Also Read: Good news for NPS Subscribers – you can withdraw full money! Know its advantages and disadvantages
First indian exchange
National Stock Exchange will be the first Indian exchange to provide this facility to Indian retail investors. Where Indian retail investors will get this facility under the Liberalized Remittance Scheme framework of the Reserve Bank of India (RBI).
The business model offered by NSE IFSC will not only provide additional investment opportunity to Indian investors but will also make the entire process of investment easy and cost-effective. Also Read:Â Good News: This bill related to your bank FD passed in Parliament, know the answer to every question
Investors will also get the option to buy in fractional quantity/value vis-a-vis the underlying shares in the US markets. This new model of NSE will make investment in American stocks affordable for Indian investors.
NSE IFSC Clearing Corporation Limited (NICCL) will offer its robust risk management structure, facilitating clearing and settlement of all trades in depository receipts.
At the same time, NSE IFSC will provide settlement in respect of all trades on the platform. In addition, all trades will also be covered under the Investor Protection Framework in NSE IFSC. Also Read:Â Electricity Amendment Bill: Electricity workers strike, Madhya Pradesh may drown in darkness
When an investor invests in American stocks, the receipts will be transferred to his demat account. This account will be opened in GIFT City. It is a type of financial gateway.
Operational details will be announced soon
NSE IFSC will soon announce the operational details and very soon it will be rolled out to the investors. Depositories, banks and brokers have started working with NSE IFSC to introduce this model at the earliest. Also Read: Exchange 1 Rupee Old Note And Get lakhs Rupees, here’s how
According to Vikram Limaye, MD & CEO, NSE, this is going to be a very innovative product and our first challenge will be to enlarge the list of companies listed in NSE IFSC for the clients.
Reserve Bank of India is the first to provide this facility to Indian retail investors under the Liberalized Remittance Scheme framework of the Reserve Bank of India. Also Read:Â BSNL gave a great gift to the users, launched 3 new prepaid plans, know the details
With the guidance of the IFSC Authority and the support of all the major stakeholders involved, we look forward to rolling out this service very soon.